Jun. 26, 2009 (China Knowledge) - China Merchants Bank Co Ltd (CMB)<600036><3968>, the nation's sixth-largest lender by assets, on Thursday signed an all-round cooperation agreement with China Shipping Group Co (China Shipping), the parent of the country's biggest container-shipping firm, China Shipping Container Lines Co Ltd<601866><2866>, the Shanghai Securities News reported.
Under the terms of the agreement, CMB will extend a credit line of RMB 20 billion to Shanghai-based China Shipping as part of the bank's effort to support the nation's shipping industry.
In addition, the two sides will establish a long-term, stable strategic partnership and will cooperate in fields like short-term liquidity loans, fixed asset loans, bills and guarantee services.
China Shipping, one of the major state-owned enterprises directly under the supervision of the Chinese central government, has assets worth more than RMB 110 billion.
CMB plans to set up at least five new private-banking business centers this year to further expand in the high-end wealth management sector, according to an earlier report from China Knowledge.
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